Can my daughter who I will claim as a dependent take the Massachusetts rent credit on her own tax return?

[ssk_2310]

 She's been living in an apartment since she graduated in May 2022.

[MaryK4]

Yes, as long as she paid the rent herself and it was her primary residence for the time of the rental.

A deduction is allowed for rent paid by the taxpayer during the tax year to a landlord for a principal residence located in Massachusetts. This deduction is limited to 50% of the rent paid and cannot exceed a total deduction of $3,000.  If rent is paid by a third party who maintains a principal residence elsewhere, a rental deduction isn't allowed for either party.

[ssk_2310 · Accepted solution]

Thank you!  Does she need to put her address for the return or can she just put our home address? She'll be moving again so she didn't want put her address.

[MaryK4]

You want to use an address that she knows she will receive mail so if she knows she is moving, using your address is fine.  @ssk-2310 

[ssk_2310]

@MaryK4 Thank you.  One more question - what about my other daughter who's a full time student living in an off campus apartment?  She paid her own rent since she worked part time.  She'll also be claimed as my dependent and file her own return.  Can she claim the rent she paid?

[MaryK4]

This may be okay- I just warn you to be cautious- if she paid her own rent with the part-time job, remember that to be able to claim her as a dependent, she must not have provided more than 50% of her own support.  Since housing is a big part of support, just make sure your numbers are accurate.  Here is the worksheet Publication 4012, Worksheet for Determining Support - IRS.  I recommend you complete now (while it is still recent) and keep it with your tax records- (remember she does not have to pay ALL the rent, just enough to cover the credit claimed). @ssk_2310 

[ssk_2310]

Thank you!